Bank of Japan to Keep Easing Unless View Shifts on Price Goal: Governor

The transcript discusses the ongoing speculation about the Bank of Japan's (BOJ) potential policy changes, particularly regarding yield curve control (YCC). Governor Huerta is cautious about making premature changes due to past mistakes in the early 2000s that led to a recession. The BOJ is expected to raise its inflation forecast, but any significant policy shift will only occur once inflation is stable at 2% or higher. The bond market and yen are currently stable, but the upcoming inflation report is crucial for future decisions.

What is the main reason for the speculation around the BOJ's potential policy changes?

• The BOJ's decision to maintain negative rates

• The upcoming inflation print on Friday

• The BOJ's past mistakes in the early 2000s

• The current high inflation and controlled bond market

What is the significance of the upcoming inflation number according to the transcript?

• It will reflect the global economic conditions

• It is crucial for understanding the bond market trends

• It will influence the BOJ's inflation forecast and policy changes

• It will determine the BOJ's decision on negative rates

What is the BOJ's key target rate mentioned in the transcript?

• 0.5%

• 2.6%

• 3.0%

• 4.3%

Why is the BOJ cautious about changing its policy according to the transcript?

• They want to avoid a repeat of the early 2000s recession

• They are waiting for inflation to stabilize at 2% or higher

• They are concerned about the global economic impact

• They are focused on maintaining a strong yen

What was the mistake made by the BOJ in the early 2000s?

• They failed to control the bond market

• They raised rates prematurely, leading to a recession

• They maintained negative rates for too long

• They raised rates too late